EU Wheat Falls Sharply

Posted by Nogger - a legend in his own mind at 09:24 | Categorized as

08/03/11 -- EU wheat closed sharply lower with Mar London wheat down GBP4.00 to GBP191.35/tonne and new crop Nov GBP3.75 weaker at GBP157.30/tonne. Mar Paris wheat fell EUR5.25 to EUR243.25/tonne, with Nov down EUR0.25 to EUR211.75/tonne.

Paris corn, rapeseed and malting barley also fell significantly - the latter losing EUR8.50 on old crop and EUR4 on nw crop months.

US wheat has been under pressure so far this week on an improved weather situation on the Plains. Crude oil is also off recent highs on talk that Gaddafi may be willing to step down as Libyan leader.

Mar London wheat has now fallen GBP18.90 from it's all time highs in less than a month, with Mar Paris wheat down by EUR35.25 in the same timeframe.

Spec longs seem to now be questioning the infallibility of wheat's rally and the notion that GBP200/tonne wheat is the the new normal.